BNB demonstrated significant bullish momentum, with a positive candlestick crossing the 100-day simple moving average (SMA) on the 4-hour time frame. The previous market scenario reveals that the digital currency faced multiple rejections at the $572 level.
This persistent resistance has paved the way for the bulls to take control and push the price higher, targeting the $605 resistance level. As the market dynamics change, the main question is whether BNB can continue its current run upward trend and hit the new target of $605.
In this article, we will analyze the recent price movements of BNB using technical indicators to determine whether the price can sustain its momentum to reach $605 or fall back to $572.
Technical analysis indicates potential rise to $605
Technical analysis reveals that BNB price has successfully crossed above the 100-day Simple Moving Average (SMA) on the 4-hour chart, indicating a potential uptrend and increasing buying momentum. This position indicates that the BNB price may continue to rise as long as it remains above the SMA.
On the 4-hour chart, the Relative Strength Index (RSI) signal line has successfully climbed above 50% into the overbought zone, signaling a potential shift in momentum, which suggests that buying pressure is increasing and the asset could experience a further upward move towards the $605.6 level.
Meanwhile, on the daily chart of BNB, the price is attempting to break above the 100-day SMA. A successful break above this key technical level could signal potential high momentum. If BNB maintains its position above the 100-day SMA, it could trigger a sustained uptrend and increased investor confidence.
![BNB targets $605 after breaking key resistance 1 BNB](https://thegurumedia.com/wp-content/uploads/2024/07/WhatsApp-Image-2024-07-31-at-9.44.18-AM-1.jpeg)
Furthermore, the RSI indicator is trading above 50%, further supporting the possibility of an uptrend, indicating that buying pressure is currently stronger than the selling pressure. The 1-day chart of BNB shows that a bullish engulfing candlestick has formed after the rejection at $572. This pattern demonstrates a potential trend reversal and could make the $605 target achievable.
Key Levels to Watch as BNB Hits $605 Resistance
BNB is on an upward trajectory, targeting the $605 resistance level. If the BNB price breaks and closes above the $605 level, it could continue its recovery towards the next resistance level at $635 and possibly other levels beyond.
However, if the digital asset faces rejection at $605 and fails to break above this level, a possible downward movement could occur, possibly retreating to $572. The $572 level could act as a key support zone, where the price may stabilize or consolidate. However, if $572 fails to hold, a deeper correction may occur towards lower support ranges such as $553.3 and $500.
At the time of writing, the price of BNB is up 2.09%, trading at approximately $585 in the last 24 hours. The cryptocurrency has a market cap of over $85 billion and a trading volume of over $1.8 billion, indicating an increase of 2.09% and 3.57% respectively in the same period.
Featured image from Adobe Stock, chart from Tradingview.com